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Getting out debt in JANUARY, 2012!! - Page 2

post #21 of 132

It totally is.  I'm tempted to tell dh to close our CC accounts and tell his company sorry.  I know they do it to prevent someone from going nuts on the company card and then bailing, but sheesh.

post #22 of 132

I saw this thread but don't know why I didn't join already. I want in cause I want to be debt free by the end of this year. It's ambitious, I know but I really need to get it together.

 

I'm a single mama to one son. About a month before I had him, I lost a well paying job and had to live off savings. Now, nearly a year after losing that job, I'm working with way less funds and far more debt. I want to put the little that I make to work for me and I think getting rid of debt would be the best way to do it. I don't follow anything official though DR is pretty close to what I'm thinking. I love him.

 

Today I worked out about how much debt I have and so far it totals $17,316.24 not counting my mortgage. I'm not sure if that's everything but that's most of it that comes to mind right now. I already have it in order of lowest to highest. I'm doing a NoSpend challenge (considering it for a few months this year) and and also a decluttering challenge this month. I'm hoping both will help me towards my goal. Now I need to set up an emergency fund, get all my basics covered, get my credit reports so I can work on those too and pull in more income while I work on getting all this debt gone.

 

I'm very excited to join!

 

Edit:

 

I have nowhere else to write all this down so:

 

My emergency fund goal is $1400. Since the first thing I need to do is get current on everything and set up an E. fund, I'm hoping to do all this early on so I can get on to getting rid of the debt. So far I'm $0/1400. Got to start somewhere though!


Edited by esg - 1/5/12 at 2:29pm
post #23 of 132

So last month was one catastrophe after another.  Our internet was out for a week, which is a necessity for dd who is in virtual school.  The twins got their first colds.  Various other computer related problems.  But the hardest part was DH's transmission finally failed on his car.  I had saved almost $2000 for a new van, so we used this as a down payment on a reliable vehicle for him.  We took out our first car loan in more than 10 years!  It's just for $3000, and will be repaid with our tax return next month.  I just couldn't see wasting that money on another junker car, when our plan was to buy him something newer in a few months anyway.  We got a 2004 Hyundai with 80,000 mi, which I think was a great deal.  They gave us $200 to salvage the car, even.  And he should be able to drive this car for the next 7-10 years.  Hopefully we'll also be able to still buy a van that meets our needs within our now lower budget without delaying that purchase too much longer.  Things keep falling off our van.  Nothing critical, but we cannot open the front passenger side door from the inside. We have to roll down the window and open with the outside handle or wait for someone to open from the outside.  And now, we cannot open the side door from the outside.  We have to open the front passenger side and use the inside handle.  The push button fell off into the door.  I'm hoping dh can at least fix that bit this weekend.  UGH.

 

So our finances are not quite as neat and tidy as I'd hoped they'd be.  I insisted that dh would have to return to giving plasma to pay for the additional expense to the insurance company and the loan payment, plus helping repay the money to the van account.  Since he was at the end of his most demanding semester, it was a good time to go back.  This upcoming semester should be better as far as classes, but he needs to find an internship and hours in the day to put into an internship...

 

Once our vehicle situations are remedied (should be by late spring) then we will be in much smoother sailing for building our big EF and reaching other goals.  We're still meeting our savings goals for sinking funds, so things like car insurance, back-to-school and such will not be coming out of a single week or month's check.  I'm really proud that despite our tiny income, we're saving almost 25% a month!

 

 

post #24 of 132

Yesterday I got $4 more than expected in my paycheck. I added 5 bucks and that started my emergency fund.

Today I went on a hunt for change and came up with $5.21 including a dollar I discovered clinging to another.

I'm surprised that I'm getting anything from anywhere since I can't use budgeted money towards my EF.

 

So far, 01/05 - $9

          01/06 - $5.21

                     $14.21/$1400

 

post #25 of 132

esg, that is so inspiring.

post #26 of 132

today I went to my storage to give away the baby furniture in an effort to downsize to a cheaper storage. When I opened up the storage I discovered that it had become infested with field mice! Their droppings are in everything. I think I need to take out any items that I can't replace and count it as a total loss. I contacted State Farm because I took out insurance on my belongings and the woman I spoke to doesn't think they cover rodent damage. The claims person is going to call me tomorrow.

 

On a more positive note.....

 

I had $100 budgeted to buy a new wig as my current one was starting to fray and human hair wigs cost a bit more but last a lot longer. The store was having a 30% off sale and DH helped me pick out a really nice wig for only $48 and it's human hair!

 

This is the first time in the ten years since I lost my hair that my DH went with to help me pick out a wig. I used to have straight brown hair and he picked out a wig just like my old hair. I told him it was funny because he could of picked out anything and he went with my original look. He really loves me!

post #27 of 132
Quote:
Originally Posted by Paigekitten View Post

esg, that is so inspiring.


Oh thank you. I'm really hoping I can do it.

 

post #28 of 132
Quote:
Originally Posted by trekkingirl View Post

I had $100 budgeted to buy a new wig as my current one was starting to fray and human hair wigs cost a bit more but last a lot longer. The store was having a 30% off sale and DH helped me pick out a really nice wig for only $48 and it's human hair!

 

This is the first time in the ten years since I lost my hair that my DH went with to help me pick out a wig. I used to have straight brown hair and he picked out a wig just like my old hair. I told him it was funny because he could of picked out anything and he went with my original look. He really loves me!

 

Wow! That's an awesome deal!

I've always helped my mom pick out her wigs (due to Alopecia) and she used to tell us about buying human hair and how expensive it can be. That is such a good deal.

It looks like he really loves you too!
 

 

post #29 of 132
Jumping in real quick then I'll go back and see if there is any conversation I missed.

I've participated in this thread in the past, but it's been a long time. I follow a quasi-Ramsey plan. I set up sinking funds before having a fully-funded baby e-fund. I'm working a debt snowball, but it's not that large. Boy did it feel great to pay off a few tiny bills that way, though. Currently our snowball is being tied up paying off the midwife from DS2's birth.

I'm on maternity leave right now so this month and next are going to be super tight. I called the electric company yesterday to make alternative payment arrangements for this month's bill. I was also able to get one of my private student loans deferred for 3 months and will call back next month to get the other loan through the same company also deferred (this month's payment was a few days late so it had to be paid before it could be deferred). I also got us on a rehab plan for DH's student loan that has been in default. I wouldn't have messed with that right now, but they had put in a claim against our 2010 refund (which we still haven't received...LONG story). This way we are on track to get that back current, and we'll still get our refund (at some point) which I have earmarked for other things. Too bad the timing stinks. Oh, and we bought a second car (needed third row seating) so that crappy car payment is going to start up this month. Another horrible timing thing, but somehow I hope I can make it work.

I'm actively looking for a new job while I'm on maternity leave. I can make substantially more (probably working less) in a larger market a few hours from our house. That would be a real blessing if I could both cut my hours and increase my income. I also really need to get off of the night shift which probably won't happen for at least 6 months at my current job.

So what are you hoping 2012 will bring your way? Where would you like to be this time next year and how are you going to get there?


I'd like to have a new job with more $$ and less hours. I'd like us to be caught up on our saving plans/sinking funds and be really going with our debt snowball. By this time next year I'd like to have paid off the next two bills in line to be snowballed (about $1,600 total). We'll hopefully get there by an increase in my income and possibly picking up some extra shifts when I have the time and they're available.
post #30 of 132
Quote:
Originally Posted by trekkingirl View Post

This is the first time in the ten years since I lost my hair that my DH went with to help me pick out a wig. I used to have straight brown hair and he picked out a wig just like my old hair. I told him it was funny because he could of picked out anything and he went with my original look. He really loves me!

So sweet...
post #31 of 132

I did some math earlier this morning and found that I need to:

 

raise/earn $15.5 a day to get to my $1400 EF in three months

raise/earn $92.59 a day starting in April if I want to pay off my $25,000 debt this year.

raise/earn $1,333 a day starting in 2013 if I want to pay my $80,000 mortgage in 5 years.

 

My math could be wrong. It was really early this morning.

 

Last night I found a leftover 1.28 from my EmigrantDirect account which is what brought me to my $15.

Today I found $0.22 in my bathroom. I have an old bike to put on CL, videos and books I'm going to take to Half Price and just yes to the offer.

Some old dance clothes and shoes to sale. Maybe go through the baby clothes and see what I can do with those. Maybe Thredup or a consignment here.

I have an aunt coming over who, if I help her with coupons and grocery shopping, she usually gives me something. Hopefully I can talk her into it for this weekend.

I really hope I can make my total today and get some junk out the way too.

post #32 of 132

Just found out that we owe the IRS $1000 from a mistake that we made on last year's return. *SIGH* Thankfully we do have the money, but there goes half of our emergency savings! I'm hoping that this years tax return will (legitimately) be a big one so we can replenish the savings.

post #33 of 132
Quote:
Originally Posted by kitteh View Post

Just found out that we owe the IRS $1000 from a mistake that we made on last year's return. *SIGH* Thankfully we do have the money, but there goes half of our emergency savings! I'm hoping that this years tax return will (legitimately) be a big one so we can replenish the savings.

Tell them they can have their money when they give me mine, lol. I'm still waiting on an almost $9,000 refund from last year. Someone filed under my SS # and it's been almost a year and the IRS hasn't figured it all out.
post #34 of 132

OMG that's a LOT of money to be waiting on! I'd be furious if I were you!

post #35 of 132

I am totally in!  DH and I are starting the Financial Peace University on Monday night 1/9.  I got the package early and read it over my Christmas vacation.  I set up an allocated spending plan that has already helped us not to overdraft the bank account, again.  DH is a free spirit when it come to money.  We married July 2010.  Before I was married I used an allocated spending plan and was totally on my way to getting rid of debt although not using the debt snowball that DR recommends.  I have taken my credit cards out of my wallet and frozen them in a block of ice.  Yep, took an old tylenol box, put the credit cards in cross wise, filled a plastic container with water, and froze them.  Not quite ready to do "plastic surgery" but the time is coming, at least for me.  DH isn't quite on board with the plastic surgery plan.  We started using cash only for food, clothes, misc on 12/20 (after I had read through the book and saw how handing over cash could help me save on groceries, etc). So far so good on using cash.  DH and I want to have $2000 ( to cover mortgage and utilities for a month) in our emergency fund.  We are at $1463.87/$2000 right now.  I love esg plan of craigslisting items and finding loose change around the house to get the EF.  Need to get on the ebay wagon myself and sell some clothes I will never wear again.  Ironing goes a long way to upping the price of an item!

 

The poster who commented about reimbursement from company expenses, could you create a "company expense" budget item that comes from your money, but gets replenished from the reimbursement?  That way you are spending cash to pay for items, not the credit card (even if you may use the credit card to make reservations, etc).  Just an idea.

 

This thread is just what I need!  I need people with "a heart of a teacher" to keep going on this plan.  Can't wait to debt snowball once the EF is funded to $2000.

post #36 of 132
Quote:
Originally Posted by eirual View Post
meandk: Will you buy the modular outright? It sounds like you've made some very positive changes and have your feet firmly planted on the ground heading in the right direction. ....and WELCOMElove.gif.

 

 

i will indeed! i hope to have enough left over to start fencing it in so that we can add chickens, 2 hogs, bunnies, some type of fiber animals, and 1 regular and 1 mini horses. we'll also eventually add in perennial veggies and fruits. i'm trying to get to the point where we're as low-cost and self-sufficient as possible.

 

i do need to call my remaining credit card to see what type of settlement they'll take. i'm hoping that it's very low.

 

also, i made an interest payment on my student loan this month of $7 that will cover interest and about $1 in principle. i'm thinking that i will go back to not making any payments until after we've bought that house though. it doesn't seem like much but i'm hoping that i can encourage myself to save it.

post #37 of 132


 

Quote:
Originally Posted by lavatea View Post

Tell them they can have their money when they give me mine, lol. I'm still waiting on an almost $9,000 refund from last year. Someone filed under my SS # and it's been almost a year and the IRS hasn't figured it all out.


Have you tried calling your congressperson's office? They can often help put enough pressure on the IRS to prioritize getting this kind of thing sorted out. It is worth a try at least.

 

 

post #38 of 132

So glad to hear everyone's stories!  Trekkingirl, that stinks about the mice but you do have a sweet hubby!   esg, I am excited to follow your progress - you seem very motivated! Good luck!!  kitteh, we just spent six months paying off a tax mistake from 2007 - not fun! We did set up a payment plan but we just made the last payment in December - we are hoping our tax return is substantial too!

lilacvioletiris, are you taking the DR Financial Peace University class or doing it at home?  One starts in our area next month and dh and I are trying to arrange work schedules and childcare so we can go.  Mylilmonkeys, sorry things were tough - seems like everything happens at once sometimes.  I hope better things are in store for you soon.

 

For us personally, we are still plugging along.  We are consistently able to pay our major bills - mortgage, car, utilities, cell phone, etc - which is an improvement on where we were a year or so ago.  Other than Christmas, which we borrowed a bit from my dad and are close to paying off, we have not been spending for anything other than necessities.  Hopefully our tax return will help us to pay off some debts (we have old credit cards, healthcare bills, and a line of credit which we are planning to pay off to $0 as soon as possible.)   I had a profitable weekend at work (I waitress locally) and the "extra" will certainly help us get closer to our goals.

 

Keep up the good work everyone!

post #39 of 132

dziejen, we are doing a DR Financial Peace University with a class of people at our church.  We need the accountability of actually seeing people face to face to do it!  I am glad for this thread though too.  Seeing progress toward baby steps on the road to financial peace is awesome.  Tonight is our first class at church so I am really pumped.  DH and I went grocery shopping yesterday.  Counting pennies at the self checkout nearly put DH over the edge (I was tired of change so put all the change into the machine before the bills).  Got back quarters!  I prefer those over pennies.

post #40 of 132

LilacVioletIris, I wish I could take a class in person!  That must be great to have that face-to-face support.  Paradoxically, I don't think it's in the budget any time soon for us.  I think it's great the way a lot of people are getting to DR through their church, though.  I mean, if you want to help people, help them get out of debt!  Can you imagine how society would change if instead of everyone making their minimum payments every month, they were able to give that money into their local communities?

 

Anka

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